By theindianinvestor 
Tuesday, 7th January 2025
Time : 8:00 AM IST
insights :
Let’s understand yesterday’s markets:
1. Nifty lost 388 points, closing at 23,616.
2. The fall can be attributed to several factors as per news articles:
• Rising dollar index and US bond yields, triggering FIIs to pull out funds.
• Concerns over the HMP Virus.
• Weak sentiments on Q3 updates from banks.
3. India VIX surged by 16% yesterday.
4. It was a broad-based sell-off in Indian markets despite stable global markets, which showed no signs of fear due to the HMP Virus.
5. FIIs net sold ₹2,575 crores, while DIIs bought ₹5,749 crores. FIIs’ long positions in index futures are at 18% versus 82% shorts. However, FIIs bought ₹242 crores in index futures yesterday.
6. The small-cap index fell by 3.2%, and the mid-cap index declined by 2.7%. Most major sectors were down by more than 2%.
Cues for today:
7. US markets ended mixed, with the Nasdaq up by 1.2% following Foxconn’s announcement of record Q4 revenue.
8. Asian markets are trading in the green, with Nikkei, Kospi, and Taiwan indices up by 1%.
9. GIFT Nifty is indicating a positive start, with a 70-point gap-up opening.
Key Levels:
• Nifty fell below 23,900, which is the 200-day EMA. For any upward move, the market must close above 23,900.
• Support is at December’s low of 23,460, and resistance is at the 200-day EMA of 23900.
Hope, we see a good recovery today 🙂